iPhones and iPads may be getting Intel chips, says analyst

Though it has yet to be confirmed, there are some pretty heavy rumors floating around concerning Apple and who will be making the chips for its iPhones and iPads. According to Citigroup analyst Glen Yeung, Intel may be offering foundry services to Apple to manufacture the A4 and A5 chips used in the iPhone, iPod touch, and iPad. These chips are currently made by Samsung.

Samsung’s chips are based on designs by ARM Holdings. If this rumor is indeed true, Intel would start building the same ARM-designed chips, but would eventually transition to Intel’s chips in the next few years. Yeung said Apple would potentially switch from the ARM-based core for handsets and tablets to Intel’s low-power x86 chips by 2013.

Of course, this would be a big move for Intel whose main focus is in its lucrative business of manufacturing core server and PC chips. With people using their iPhones and iPads just as much or more than their computer, Intel may be looking ahead to a future where PC sales are declining even more than they are today.

Business Insider points out that Apple may be looking towards a foundry relationship with Intel to drop its relationship with Samsung due to Samsung’s increasing popularity with one of the iPhone’s direct competitor: the Android phone. Again, this is largely speculation, but we’ll let you know if anything official comes out of these rumors.